ASIC calls time’s nearly up on MDA settings
The Institute of Managed Account Professionals (IMAP) has written to members informing them that the Australian Securities and Investments Commission (ASIC) has released an information paper informing them that a key ‘no action’ letter on which some have been relying will cease to be effective from 1 October.
The ASIC information paper stated that managed discretionary account (MDA) providers who were currently relying on the ‘no action’ letter would need to act quickly to become otherwise compliant.
It said this meant that licensees which were reliant on ASIC’s ‘no action’ position would need to apply for a variation of the license to authorise them to continue offering MDA services to retail client.
ASIC reminded affected licensees that it had foreshadowed its move in September 2016 to give MDA providers sufficient time to obtain the necessary licence authorisations.
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